The State's head of banking regulation Sharon Donnery has become the first woman to be appointed deputy governor of the Central Bank.

Ms Donnery has been the bank’s director of credit institutions since March 2014 and will be one of two deputy governors. She was last year appointed by the European Central Bank’s oversight arm to lead a charge on tackling soured loans across the eurozone area.

In an announcement made by the bank on Wednesday, it said her portfolios would include economics, financial operations, and resolution and corporate affairs.

Ms Donnery succeeds Stefan Gerlach who stepped down from his role as deputy governor in December.

Central Bank Governor Philip Lane said Ms Donnery's "breadth of experience" at the bank in regulation and central banking, combined with her European experience would "serve her well" in the role.

Ms Donnery is the bank’s alternate member of the supervisory board of the single supervisory mechanism (SSM).

She has held a range of senior positions at the bank including head of consumer information and head of consumer protection.

She has represented the Central Bank on committees of the European Banking Authority, the European Central Bank and the European Commission.

She chaired the European Banking Authority’s sub-group on consumer protection following its establishment in early 2011 until 2013.

Ms Donnery is also the former vice-chair of the European Banking Authority’s standing committee on consumer protection and financial innovation.

As deputy governor, she will be a member of the Central Bank Commission and the Governor's Committee, which is the highest-level executive committee in the bank.

She will also serve as alternate to the Governor in the Governing Council of the European Central Bank.

She holds a BA in economics and politics and an MA in economics from University College Dublin. She will take up her role from March 1st.